Assume the Canadian Demand Elasticity for Imports Equals 1

Assume the Canadian demand elasticity for imports equals 1.2,while the foreign demand elasticity for Canadian exports equals 1.8.Responding to a trade deficit,suppose the Canadian dollar depreciates by 10 percent.For Canada,the depreciation would lead to a(n) :

A) Worsening trade balance--a larger deficit
B) Improving trade balance--a smaller deficit
C) Unchanged trade balance
D) None of the above